Surprisingly, downside volatility remains subdued as the S&P 500 hasn't experienced a decline of 1% or more in the last 20 trading days. Since the December bottom, the key factors moving stock prices continue to be signs of a possible trade resolution with China, the Fed's patient attitude while gauging economic conditions before increasing rates and lastly a better-than-feared fourth-quarter earnings season. However, it should be expected that both upside and downside volatility will likely increase as the year continues. To that point, this week the market will likely take its cues from a full plate of economic headlines as well as ongoing political uncertainties, including but not limited to, President Trump's scheduled meeting with North Korean leaders, the delayed release of housing data and the fourth-quarter U.S. GDP report and a host of S&P 500 earnings announcements.
– Those ETFs who have had the largest weekly change in their respective, ETFG Quant ratings:
ETFG Quant Winners: The top five ETFG Quant gainers from this past week included funds with an EM focus as expected from Macro trends, as well as, a few unexpected showcases. The EM winners were X-trackers Harvest CSI 500 China-A Shares Small Cap Fund () and Schwab Emerging Markets Equity ETF ( ) showing gains of 27.82% and 18.08% to their respective overall ETFG Quant Scores. The other winners included Bernstein Global Research Fund ( ), BMO Elkhorn DWA MLP Select Index ETN ( ) and Global X Lithium & Battery Tech ETF ( ) showing gains of 27.27%, 21.42% and 20.73% respectively.
ETFG Quant Losers: Notable losers included Vanguard Consumer Staples ETF (), Vanguard Value ETF ( ), Vanguard Mid-Cap ETF ( ) and Vanguard Total World Stock ETF ( ) - these ETFs saw loses of -27.24%, -23.60%, -22.46% and -20.80% to their respective overall scores.
- the five most highly rated ETFs per Sector, Geographic Region and Strategy as ranked by the ETFG Quant model.
Piggy backing on the previously mentioned theme of the emerging market development class, we'd like to highlight the top ranked funds in the EM portion of the Geography category. The largest movement was observed when iShares MSCI Emerging Markets ETF () moved from the 5th position to the 2nd when comparing this week’s list to the preceding. In addition, we saw some fresh faces making an appearance with Columbia EM Core ex-China ETF (), First Trust RiverFront Dynamic Emerging Markets ETF () and Columbia Emerging Markets Consumer ETF () snagging the 2nd through 5th place respectively.
Thank you for reading ETF Global Perspectives!
ETFG 21 Day Free Trial:
Assumptions, opinions and estimates constitute our judgment as of the date of this material and are subject to change without notice. ETF Global LLC (“ETFG”) and its affiliates and any third-party providers, as well as their directors, officers, shareholders, employees or agents (collectively ETFG Parties) do not guarantee the accuracy, completeness, adequacy or timeliness of any information, including ratings and rankings and are not responsible for errors and omissions or for the results obtained from the use of such information and ETFG Parties shall have no liability for any errors, omissions, or interruptions therein, regardless of the cause, or for the results obtained from the use of such information. ETFG PARTIES DISCLAIM ANY AND ALL EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO ANY WARRANTIES OF MERCHANTABILITY, SUITABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE. In no event shall ETFG Parties be liable to any party for any direct, indirect, incidental, exemplary, compensatory, punitive, special or consequential damages, costs, expenses, legal fees, or losses (including, without limitation, lost income or lost profits and opportunity costs) in connection with any use of the information contained in this document even if advised of the possibility of such damages.
ETFG ratings and rankings are statements of opinion as of the date they are expressed and not statements of fact or recommendations to purchase, hold, or sell any securities or to make any investment decisions. ETFG ratings and rankings should not be relied on when making any investment or other business decision. ETFG’s opinions and analyses do not address the suitability of any security. ETFG does not act as a fiduciary or an investment advisor. While ETFG has obtained information from sources they believe to be reliable, ETFG does not perform an audit or undertake any duty of due diligence or independent verification of any information it receives.
This material is not intended as an offer or solicitation for the purchase or sale of any security or other financial instrument. Securities, financial instruments or strategies mentioned herein may not be suitable for all investors. Any opinions expressed herein are given in good faith, are subject to change without notice, and are only correct as of the stated date of their issue. Prices, values, or income from any securities or investments mentioned in this report may fall against the interests of the investor and the investor may get back less than the amount invested. Where an investment is described as being likely to yield income, please note that the amount of income that the investor will receive from such an investment may fluctuate. Where an investment or security is denominated in a different currency to the investor's currency of reference, changes in rates of exchange may have an adverse effect on the value, price or income of or from that investment to the investor.